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Hyperliquid’s HYPE token appears to be entering a new growth phase after an extended period of decline. After rebounding strongly from the $25–$28 support zone, HYPE is now trading around $37, forming a pattern of higher lows and higher highs—often viewed as a shift in market structure from bearish to bullish.
One of the most notable changes is HYPE’s ability to reclaim key moving averages. The 26 EMA and 50 EMA, which previously acted as overhead resistance, have flipped into dynamic support levels, with price consolidating above them. In addition, the longer-term trend indicator is beginning to flatten, suggesting that downward momentum has largely been exhausted.
From an Elliott Wave perspective, the observed price action is consistent with the early stages of a second expansion wave. Rather than moving higher in a straight line, HYPE is consolidating in a relatively tight range while respecting established support zones. This type of controlled pause following an initial impulsive rally is often seen as a potential setup for the next meaningful move higher.
Volume during the consolidation phase has remained steady, though not explosive. Importantly, there are no signs of significant liquidity withdrawal, which can undermine continuation setups. Instead, the market appears to be absorbing the prior rally in a measured way.
Looking ahead, the $34–$35 range is the key support area to monitor. As long as HYPE holds above this zone, the bullish case remains intact. A confirmed breakout above the $40–$42 local high would likely indicate trend continuation, potentially leading to higher resistance targets and supporting the broader bullish Elliott Wave structure currently forming.
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